Inflation has become a major concern for Americans as the cost of living continues to rise at an alarming rate. With a shocking 23% increase in the cost of living since 2019, the vast majority of Americans are feeling the squeeze. This has led to a significant decline in living standards, with once-affluent individuals finding themselves pushed into the middle class, former middle-class individuals dropping into the working class, and working-class individuals struggling to make ends meet as they slide into poverty.
According to recent polls, inflation is the number one worry for Americans, with 55% of people expressing great concern about the impact of rising prices. Additionally, two-thirds of Americans believe that inflation has worsened their financial situation.
The root cause of this inflation can be traced back to the Federal Reserve and the abandonment of the gold standard in 1933. Since then, the U.S. dollar has lost nearly 97% of its purchasing power, with the money supply increasing by a staggering 55,440% from 1920 to 2020. The relentless printing of money by the Federal Reserve has led to a continuous erosion of the dollar’s value.
To protect their wealth from the ravages of inflation, many individuals have turned to gold and silver bullion as a store of value. However, the U.S. government imposes a hefty capital gains tax of 28% on gold and silver bullion, which unfairly penalizes those seeking to preserve their wealth.
In response to this issue, U.S. Representative Alex Mooney introduced The Monetary Metals Tax Neutrality Act (H.R. 8279) to eliminate federal income taxation on gold and silver bullion. The bill aims to align with a broader national trend of states eliminating sales tax and income taxation on precious metals.
Supporters of the bill argue that it is unjust to tax capital gains on gold and silver bullion, as these assets serve as a hedge against the devaluation of the dollar. By removing taxes on these metals, individuals can better protect their wealth and maintain their purchasing power in the face of inflation.
The passage of The Monetary Metals Tax Neutrality Act would not only level the playing field for gold and silver bullion investors but also uphold the principles of sound money and fair taxation. As inflation continues to erode the value of the dollar, it is essential to support measures that enable individuals to safeguard their wealth and financial security.
https://www.kitco.com/news/2022-10-21/Pre-market-Gold-and-Silver-prices-react-to-remarks-from-EU-officials.html